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Tracking Sustainable Transport in Vietnam: Data and Policy Review for Energy Efficiency and Climate Change 2015

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Tracking Sustainable Transport in Vietnam: Data and Policy Review for Energy Efficiency and Climate Change 2015 ASEAN - German Technical Cooperation | Energy Efficiency and Climate Change Mitigation in the Land Transport Sector Tracking Sustainable Transport in Vietnam: Data and Policy Review for Energy Efficiency and Climate Change 2015 This report is prepared in cooperation with the Department of Environment, Ministry of Transport of Vietnam. ASEAN - German Technical Cooperation | Energy Efficiency and Climate Change Mitigation in the Land Transport Sector Acknowledgements The author team and Transport and Climate Change project (TCC) project would like to express sincere appreciation to those who have contributed invaluable support and inputs to the this report: Dr. Rudolf Petersen, International Transport Expert, Mr. Sudhir Gota, Dr. Bang Quoc Ho, Head of Air Pollution and Climate Change Department, Institute of Environment & Resources, Vietnam National University, Ho Chi Minh City (VNU-HCM), Mr. Tran Anh Duong, Director General, Environmental Department, Ministry of Transport, Mrs. Nguyen Thi Phuong Hien, Deputy Director General, Transport Development and Strategy Institute, Ministry of Transport and Mr. Nguyen Duc Cuong, Director of the Center for Renewable Energy under the Vietnam Institute of Energy, as well as representatives of international organisations interviewed. The Project Context The GIZ Programme on Cities, Environment and Transport (CET) in ASEAN seeks to reduce emissions from transport and industry by providing co-benefits for local and global environmental protection. The CET Project ‘Energy Efficiency and Climate Change Mitigation in the Land Transport Sector in the ASEAN region’ (Transport and Climate Change (TCC) www.TransportandClimateChange.org) aims in turn to develop strategies and action plans for more sustainable transport. As presented to the ASEAN Land Transport Working group, TCC’s regional activities are in the area of fuel efficiency, strategy development, green freight, and Nationally Appropriate Mitigation Actions in the transport sector. At the national level the project supports relevant transport and environment government bodies in the Philippines, Thailand, Vietnam, Malaysia and Indonesia, for the development of national action plans and improvement of policy monitoring systems. The project is funded by the German Federal Ministry for Economic Cooperation and Development (BMZ). ASEAN - German Technical Cooperation | Energy Efficiency and Climate Change Mitigation in the Land Transport Sector Kathleen Dematera Contreras Authors: Alvin Mejia Phan Quynh Nhu Mark Tacderas Kaye Patdu Lo c Daudey ϊ Nguyen Anh Tuan Stefan Bakker Reviewers: Rudolf Petersen Le Thi My Hanh Tran Anh Duong Bang Quoc Ho Papondhanai Nanthachatchavankul Contact: Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH Registered offices Bonn and Eschborn, Germany Lake Rajada Office Complex (16th floor) New Ratchadapisek Road, Klongtoey 10110 Bangkok Thailand www.TransportAndClimateChange.org Manager: Tali Trigg Cover photo: Nguyen Anh Tuan ASEAN - German Technical Cooperation | Energy Efficiency and Climate Change Mitigation in the Land Transport Sector TABLE OF CONTENTS Abbreviations and Acronyms ....................................................................................................................................................................... 1 Executive Summary .......................................................................................................................................................................................... 3 1 Introduction ................................................................................................................................................................................................ 7 2 Transport and Climate Data ................................................................................................................................................................. 8 2.1 General Information ................................................................................................................................................................... 8 2.2 GHG Emissions from the Transport Sector .................................................................................................................... 10 2.3 Emission Reduction Potential from the Transport Sector ...................................................................................... 13 2.4 Bottom-up data review ........................................................................................................................................................... 16 2.4.1 Transport Activity ...................................................................................................................................................... 16 2.4.2 Modal Share .................................................................................................................................................................. 22 2.4.3 Energy Intensity .......................................................................................................................................................... 28 2.4.4 Fuel Emission Factors .............................................................................................................................................. 34 2.5 Data Availability and Quality ................................................................................................................................................ 36 3 Policies and Institutions ....................................................................................................................................................................... 42 3.1 Institutional Structure and Stakeholders ........................................................................................................................ 42 3.2 Regulatory Framework and Initiatives for Sustainable Transport ..................................................................... 47 3.2.1 Vietnam’s Response to Climate Change Mitigation and Adaptation.................................................... 48 3.2.2 Vietnam’s Strategies for Sustainable Transport ........................................................................................... 52 3.2.3 Vietnam’s Response to Energy Efficiency and Conservation .................................................................. 56 3.3 Existing policies .......................................................................................................................................................................... 58 3.4 Finance…….. .................................................................................................................................................................................. 61 3.5 Monitoring .................................................................................................................................................................................... 63 4 Barriers to sustainable, energy-efficient transport ................................................................................................................. 66 5 Activities by international organisations ..................................................................................................................................... 71 6 Policy recommendations ..................................................................................................................................................................... 77 References ...........................................................................................................................................................................................................80 Annexes ................................................................................................................................................................................................................91 ASEAN - German Technical Cooperation | Energy Efficiency and Climate Change Mitigation in the Land Transport Sector LIST OF FIGURES Figure 1: Map of Vietnam ...................................................................................................................................................................... 9 Figure 2: Estimated CO2 emissions from road transport, 2000-2010 ............................................................................ 11 Figure 3: Road transport CO2 emissions by vehicle type, 2010 ........................................................................................ 11 Figure 4: Share of final consumption by economic sector, 2010 ...................................................................................... 12 Figure 5: Road transport diesel and gasoline consumption ............................................................................................... 12 Figure 6: GHG emissions and mitigation potential in Vietnam ......................................................................................... 13 Figure 7: Marginal abatement cost curve for the transport sector ................................................................................. 16 Figure 8: Goods transport (left) and passenger transport (right) demand growth in Vietnam ......................... 17 Figure 9: Goods and passenger transport demand growth in Vietnam......................................................................... 18 Figure 10: Volume of passenger traffic by type of transport ............................................................................................
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